Why This Fund Made a $72 Million Bet on a Stock Headed for a $210 Per Share Takeout

Paris-based Syquant Capital initiated a new position in Chart Industries (NYSE:GTLS), acquiring 350,458 shares in the fourth quarter for an estimated $72.28 million based on average quarterly pricing, according to a Tuesday filing.

What happened

According to a filing with the U.S. Securities and Exchange Commission released Tuesday, Syquant Capital established a new stake in Chart Industries during the fourth quarter, buying 350,458 shares. The estimated transaction value, based on the quarter's average price, was $72.28 million. The net position change for this new holding matched the transaction value, as this was an initial purchase.

What else to know

This was a new position for the fund and now represents 8.84% of its reportable 13F assets under management

Top five holdings after the filing:

• NYSE:DAY: $159.47 million (19.89% of AUM)
• NYSE:BABA: $91.10 million (11.36% of AUM)
• NYSE:LLY: $76.30 million (9.52% of AUM)
• NASDAQ:INTU: $69.55 million (8.67% of AUM)
• NYSE:ORCL: $57.50 million (7.17% of AUM)

As of Monday, Chart Industries shares were priced at $206.71, up 3.81% over the past year and underperforming the S&P 500 by 13.79 percentage points.

Company overview

Company Snapshot

• Chart Industries, Inc. provides engineered equipment, including cryogenic storage tanks, heat exchangers, process technology, and specialty products for the energy and industrial gas sectors.
• The company generates revenue primarily through the design, manufacture, and sale of highly engineered equipment and aftermarket services, with a diversified product portfolio supporting LNG, hydrogen, CO2 capture, and industrial gases.
• Key customers include participants in the energy, industrial gas, specialty gas, aerospace, food and beverage, and water treatment industries worldwide.

Chart Industries, Inc. is a leading global supplier of engineered cryogenic and heat transfer equipment, with a broad presence across energy and industrial gas markets. The company's scale and technical expertise enable it to serve a diverse set of end markets, including LNG, hydrogen, and specialty applications. Its strategic focus on innovation and aftermarket services supports long-term customer relationships and competitive differentiation.

What this transaction means for investors

Chart Industries shares are trading just below the firm’s $210 per-share cash acquisition price from Baker Hughes (a deal announced in July), even as the underlying business continues to post record commercial momentum and a swelling backlog.

The company reported third-quarter orders of $1.68 billion, up nearly 44% year over year, pushing total backlog to about $6.05 billion. Heat transfer systems and specialty products led growth, with demand tied to LNG infrastructure, data centers, carbon capture, and nuclear applications. Meanwhile, free cash flow came in at $94.7 million despite one-time costs tied to the terminated Flowserve deal and the pending Baker Hughes transaction.

More broadly, Syquant’s largest holdings lean toward large-cap growth and durable cash generators, and this position now sits alongside names like Eli Lilly and Intuit in its portfolio. Ultimately, when a stock trades below a signed cash exit while fundamentals keep improving, the risk-reward might skew slightly in your favor.

Glossary

13F assets under management: The value of securities a fund manager must report quarterly to the SEC under Form 13F.
Initial purchase: The first time an investor or fund acquires a position in a specific security.
Quarter-end position: The number of shares or value of a holding at the end of a fiscal quarter.
Reportable assets: Securities or holdings that must be disclosed in regulatory filings, such as the SEC's Form 13F.
Stake: The ownership interest or amount of shares held in a company by an investor or fund.
Engineered equipment: Custom-designed machinery or products built to meet specific technical requirements for industrial use.
Cryogenic storage tanks: Specialized containers designed to store materials at extremely low temperatures, often used for industrial gases.
Aftermarket services: Support, maintenance, or services provided to customers after the initial sale of equipment.
Process technology: Systems and methods used to transform raw materials into finished products, especially in industrial settings.
Diversified product portfolio: A range of products offered across different markets or sectors to reduce risk and broaden business opportunities.
End markets: The industries or sectors that ultimately use a company's products or services.
TTM: The 12-month period ending with the most recent quarterly report.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Chart Industries, Intuit, and Oracle. The Motley Fool recommends Alibaba Group. The Motley Fool has a disclosure policy.